Morning all.
I have a holding of Mercia Asset Management (MERC) and they have announced today a placing in order to raise funds to purchase a VCT fund management business.
This is the first time I have come across a placing so just a few questions:
1. Is it common for existing shareholders to be offered new shares first?
2. I assume that the value of my existing shares will decrease as there will be more shares on the market. However, with the increased asset base (the purchase), this might be relatively short-lived.
3. What do most of you do in this situation!
Many thanks, cheers, OLTB.
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Placing
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OLTB
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PinkDalek
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Re: Placing
3. What do most of you do in this situation!
The RNS is here https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/MERC/14332220.html
I would usually wait to see if I hear anything at all but you'll note it includes under the Placing section in the Appendix:
4. Participation in the Placing is only available to persons who are lawfully able to be, and have been, invited to participate by the Joint Bookrunners.
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OLTB
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Re: Placing
Many thanks PD - this illustrates that I need to read the rns more thoroughly.
Cheers, OLTB.
Cheers, OLTB.
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